Research On The Financial Performance Of The Innovation Of Business Model In Suning

Along with the “Internet+” and big data technology upgrades,the technology dividend has entered thousands of households,and the business model-driven business model innovation emerges endlessly.The enterprise has carried out series of incremental or revolutionary business model innovation about market-oriented competitive position,customer value-added realization,and its own business model.From the perspectives of consumer demand and industry competition,the traditional retail industry has chosen to shift to the B2 C and O2 O business model to cope with the new round of challenges and opportunities.It has been found that in the Internet era,the supply-side-led business model in the traditional market system has begun to shift to demand-driven,and to achieve business model innovation and value creation in the new value chain,demand-oriented Internet business models and value creation are emerging.Due to the important position of the change of business model,coupled with the natural profitability of capital,the analysis of the fluctuation of company performance caused by business model innovation is particularly important.Considering that Suning E-commerce is the pioneer of the transformation from traditional retail industry to e-commerce,the problems of production and sales,capital management and strategic cooperation of products and services encountered by Suning E-commerce in the process of transformation and innovation of business model are obviously representative,which obviously has great reference value for other companies with the intention of transformation in the retail industry.At the same time,the analysis results of financial indicators such as company operating income,net profit,economic value added and so on will also put forward some management suggestions at the end of this paper,which can provide the possibility for peers to learn from,and also provide some ideas for relevant departments to formulate preferential policies.This paper takes Suning's business model of transformation and innovation from traditional retail to B2 C and O2 O as an example,and takes the annual financial report data of the company for twelve years from 2007 to 2018 as the analysis object,and uses the longitudinal comparative analysis method to comprehensively consider the impact of Suning's business model transformation and innovation in the past ten years on enterprise's financial performance.This paper uses the open data in financial statements to calculate the financial indicators such as return on assets,revenue growth rate,asset-liability ratio and so on.It makes a comprehensive analysis of the company's solvency,profitability and growth ability,and uses the EVA analysis method to analyze the performance fluctuation in the process of transformation and innovation.The innovation of this paper is that the accurate data of mid-line income,off-line income,scale of self-owned goods and scale of commodity trading on open platform from 2007 to 2018 are obtained from the notes,and a comparative analysis is made to deeply analyze how the income composition of Suning has grown and changed rapidly in the past ten years.The research finds that the financial indicators in the early stage of business model innovation are basically lower,and there are serious cash flow problems in enterprises.After the transformation of business model,the performance of financial reports in terms of business income and net interest rate has improved significantly.So business model innovation has played a positive role in the financial performance of enterprises to a certain extent.